Gitcoin’s Collaboration With Shell Angers Crypto Community
Oil Giant Will Contribute To Climate Rounds For The Next Four Quarters, GTC Drops 8%
By: Tarang Khaitan •DeFi News
Gitcoin, a platform that supports open-source software development, has announced a year-long collaboration with multinational oil and gas conglomerate Shell PLC.
“We’re excited to announce this collaboration with Shell as another key example of the real-life potential to scale transparent funding allocation via blockchain technology for real-world solutions,” said Gitcoin's Head of Impact Azeem Khan.
The partnership aims to develop open-source climate solutions, but it appears the crypto community isn't impressed. Gitcoin's governance token GTC fell 8% on the news.
Shell will donate to Gitcoin's climate solutions rounds for the next four quarters and will also contribute to a hackathon in Q4 2023 focusing on energy-related issues using blockchain. The amount that Shell plans to donate hasn’t been disclosed.
The crypto community has reacted largely negatively to the partnership, with some accusing Gitcoin of participating in greenwashing – akin to putting a green bow on a gas-guzzling SUV and calling it eco-friendly.
Others criticized the collaboration as tone-deaf and undermining Gitcoin’s credibility.
“I think $500k is a pittance especially if you look at shells contribution to the climate crisis & the brand damage to @gitcoin is immense,” wrote founder Kevin Owocki, who is no longer with the project.
These negative reactions contrast sharply with the praise Gitcoin received last month for launching its Layer-2 Public Goods Network (PGN). Built using Optimism's OP stack, the PGN aims to finance public goods as a fee-efficient Layer-2 network.